Cielo expands into banking services with app for small entrepreneurs

Merchant acquirer Cielo launched an app called Cielo Pay offering digital account and wallet for small entrepreneurs. It’s yet another step of the company to provide more services to merchants and their clients. But analysts question the wisdom of that since two banks already control the company, Banco do Brasil and Bradesco. “We didn’t work with entrepreneurs before and, in September, Cielo should celebrate the sale of 1 million [point-ofsale] machines. We aggressively entered this segment and should continue so,” Cielo chief Paulo Caffarelli told reporters. The company considers as entrepreneurs clients with annual revenue of up to R$240,000 and transaction volume of growth of 40% a year, compared with the market average of 17%.

Source: Valor Econômico